(a) which are higher, federal income taxes or state and local income taxes? (b) how much are total income taxes per capita?

Jane and Joe made two investments of $25,000 and $40,000 with different investors that yielded a combined rate of return of 10%

OLga [1]

Answer:

10.625%

Explanation:

The combined rate of return for two investments can be calculated using the below mentioned formula:

Combined interest=[(interest rate of first investment*first investment+interest rate of second investment*second investment)/(First investment+Second investment)]

In the given question

Combined interest=10%

Interest rate of first investment=9%

First investment=$25,000

Interest rate of second investment=?

Second investment=$40,000

10%=[(9%*25,000+Interest rate of second investment*$40,000)/(25,000+40,000)]

10%=(2250+Interest rate of second investment*$40,000)/65,000

10%*65,000=2250+Interest rate of second investment*$40,000

6500-2250=Interest rate of second investment*$40,000

4,250=Interest rate of second investment*$40,000

Interest rate of second investment=10.625%

5 0

3 years ago

Milo Co. had 600,000 shares of common stock outstanding on January 1. On May 1, Milo issued 126,000 shares. On September 1, Milo

PtichkaEL [24]

Answer:

b. 663,000

Explanation:

Outstanding shares refers to the total number of stock held by investors at a particular time. They are the shares issued out to both retail and institutional investors and insiders, such as directors and employees. Outstanding shares will exclude shares that have been repurchased back by the issuing company (treasury stock).

The weighted average share outstanding takes into consideration the duration of time that issued stocks have been in the markets. It allocates value proportionately to the time in the market.

For Millo Co, the weighted average share outstanding for the year will be

1. January 1, 600,000

2. May 1, issued 126,000 shares ( 8 months)

weighted for the year=8/12 x 126,000 = 84,000

3. September 1, purchased 63,000 treasury stock

(4 months) weighted value will be

= 4/12 x 63,000= 21,000

The weighted average share outstanding

Beginning balance plus shares issued out minus repurchased shares(treasury stock)

=600,000 + 84,000 -21,000

=663,000

6 0

3 years ago

Leah and Mason are parties to a contract for the sale of Mason’s day care facility to Leah. Before the deal closes, they agree t

vladimir2022 [97]

Answer:

The correct answer <em>is performance of original contract by all of the parties.</em>

Explanation:

The perfection of a contract is the moment at which it begins its existence, validity and validity, being binding from that moment to the parties that have signed it.

The phases through which a contract passes from its gestation to its termination are:

- The generation.

- The perfection.

- The consummation.

4 0

3 years ago

Tuna Corporation reported pretax book income of $1,000,000. During the current year, the net reserve for warranties increased by

STatiana [176]

Answer:

$985,000

Explanation:

Given that,

Pretax book income = $1,000,000

Increase in net reserve for warranties = $25,000

Book depreciation = $100,000

Dividend received deduction = $15,000

Book equivalent of taxable income:

= Pretax book income - Dividend received deduction

= $1,000,000 - $15,000

= $985,000

Therefore, the Book equivalent of taxable income is $985,000.

7 0

3 years ago

You just got a job and plan to save for the college expenses for your kids. You have a son and a daughter. Your son is 4 years o

Dafna1 [17]

Answer:

$11,508.25

Explanation:

your son will start college in 14 years, and the present value of his college tuition = $40,000 x 3.4651 (PVIFA, 6%, 4 periods) = $138,604

your daughter will start college in 17 years, so you need in today's dollars $138,604

you will need to save enough money to cover both tuitions;

money required to cover your son's tuition = $138,604 / 21.015 (FVIFA, 6%, 14 periods) = $6,595.48

money required to cover your daughter's tuition = $138,604 / 28.213 (FVIFA, 6%, 14 periods) = $4,912.77

total annual savings = $11,508.25

5 0

2 years ago